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<br />a. A 49,800 ft. PVC mainline with all necessary fittings and <br />appurtenances. <br /> <br />b. A 19,100 ft. PVC submain with all necessary fittings and <br />appurtenances. <br /> <br />c. Seven State Highway crossings. <br /> <br />d. Thirteen arroyo crossings. <br />e. Fifty-two service meter assemblies <br /> <br />f. Ten 6-inch line valves. <br /> <br />\ <br />I <br />, <br /> <br />g. Seven 3-inch line valves <br /> <br />h. One 6-inch pressure regulator station. <br /> <br />The system will start from the treatment plant and reservoir site . <br />(NW~ SW~ of Section 31, T 41 N, R 18 W, NMPM) and the mainline will <br />terminate to a point north of Cahone along Highway 666 where the" <br />Montezuma water system could be interconnected in the future <br />(Section 3, T 39 N, R 18 W, NMPM). (See Appendix A). <br /> <br />3. Permit periodic inspection of construction by the authorized <br />representatives of the State during construction and permit the <br />State to review and approve or disapprove any contracts for the <br />construction of the project or the performance of work pursuant <br />to such contracts or subcontracts. <br /> <br />4. Without expense to the State) manage, operate and maintain the <br />project system continuously in an efficient and economical manner) <br />and assume all legal liability for such management, operation and <br />maintenance. <br /> <br />5. Make the services of said project available within its capacity <br />to all persons in the Contractor's service area without discrimi- <br />nation as to race, color) religion or natural origin at reasonable <br />charges, including assessments) taxes or fees in accordance with a <br />schedule of such charges, whether for one or more classes of <br />service, formally adopted by the Contractor through its board of <br />directors, as may be modified from time to time by the Contractor. <br />The initial rate schedule must be approved by the State. There- <br />after, the Contractor may make such modifications to the rate <br />schedule as the Contractor deems necessary to efficiently and eco- <br />nomically provide for the financial requirements of the system as <br />long as the rate schedule remains reasonable and non-discriminatory) <br />and subject to the approval by the State. <br /> <br />6. Adjust its operating costs and service charges from time to <br />time to provide for adequate operation and maintenance) emergency <br />repair services) obsolescence reserves, debt service" and debt <br />reserves. <br /> <br />7. Expand the system from time to time to meet reasonable growth <br />or service requirements in the area within its jurisdiction. <br /> <br />8. Provide the State with such periodic reports as it may require <br />and permit periodic inspections of its operations and accounts by <br />a designated representative of the State. The Colorado Water <br />Conservation Board, its agents and employees, is hereby designated <br />as the agent of the State for the purposes of this contract. <br /> <br />9. To purchase from the State all of the State's right, title <br />and interest in said project and any facilities thereof at a total <br />purchase price of Four Hundred Forty-Two Thousand Three Hundred <br />Thirty-Six Dollars ($442 336.00), payable in forty (40) annual <br />installments of Eleven Thousand Fifty-Eight Dollars and Forty Cents <br />($11,058.40) each, which first installment shall be due and payable <br /> <br />Page 2 of 5 pages <br />